Indo Bonito Multinational Ltd Auditor Reports

To The Members of

INDO BONITO MULTINATIONAL LTD.

We have audited the attached Balance Sheet of Indo Bonito Multinational Ltd. as on March 31, 2013 and also the Profit and Loss Account for the year ended on that date annexed thereto. These financial statements are the responsibility of the Companys management. Our responsibility is to express an opinion on these financial statements based on our audit.

We conducted our audit in accordance with auditing standards generally accepted in India. Those Standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion.

As required by the Companies (Auditors Report) Order, 2003 issued by the Government of India, in terms of Section 227(4A) of the Companies Act, 1956, we enclose in the Annexure a statement on the matters specified in paragraphs 4 and 5 of the said Order on the basis of such checks of the books and records as were considered appropriate, and according to the information and explanations given to us in the course of the audit.

Further to our comments in the Annexure referred to above, we report that:

1. We have obtained all the information and explanations, which to the best of our knowledge and belief were necessary for the purposes of our Audit.

2. In our opinion, proper books of accounts as required by law have been kept by the company so far as appears from our examination of the books.

3. In our opinion, the Profit and Loss Account and the Balance Sheet comply with the Accounting Standards referred to in Section 211(3C) of the Companies Act, 1956.

4. The Balance Sheet and Profit and Loss Account dealt with by this report are in agreement with the books of account of the Company.

5. On the basis of the written representations received from the Directors taken on record by the Board of Directors, we report that none of the Directors is disqualified as on March 31, 2013 from being appointed as a Director in terms of clause (g) of sub-section (1) of Section 274 of the Companies Act, 1956.

6. Subject to the above, in our opinion and to the best of our information and according to the explanations given to us, the said accounts read with the notes thereon, give the information required by the Companies Act, 1956, in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India:

(i) in the case of Balance Sheet, of the state of affairs of the Company as on March 31, 2013;

(ii) in the case of Profit and Loss Account, of the Profit for the year ended on that date.

	For S.U.Radhakrishnani & Co
	Chartered Accountants
Place : Mumbai	S.U.Radha krishnani
Date : 2nd September, 2013	Proprietor
	M. No. 31760

Annexure to the auditors Report (Refer to our report of even date)

1. The Company has maintained records showing full particulars, including quantitative details and situation of fixed assets.

2. All fixed assets have been physically verified by the management during the year. In my opinion, the frequency of verification is reasonable having regard to the size of the company and the nature of its assets. To the best of my knowledge, no material discrepancies have been noticed on such verification.

3. During the year, the company has not disposed off any item of the plant and machinery.

4. As explained to us, the management has conducted physical verification of inventory at the regular intervals during the year.

5. On the basis of our examination of the records of inventory, we are of the opinion that the Company is maintaining proper records of inventory. No material discrepancies were noticed on verification between the physical stocks and the book records.

6. According to the information and explanations given to us there are no parties listed in the registers maintained under Section 301 of the Companies Act, 1956. Hence, disclosure requirements under sub-paragraphs (iii) and (v) of the Clause 4 of the Order with respect to transactions with parties under Section 301 of the Companies Act, are not applicable.

7. The Company has not taken unsecured loan from Bank during the year.

8. In our opinion and according to the information and explanations given to us, there are adequate internal control procedures commensurate with the size of the Company and the nature of its business with regard to the purchase of inventory and fixed assets and with regard to the sale of services. During the course of our audit, we have not observed any major weakness in the internal controls.

9. The Company has not accepted any deposits from the public.

10. There is no formal internal audit system introduced by the Company.

11. It has been informed to us that the Central Government has not prescribed maintenance of cost records for the product manufactured by the Company, under section 209(1)(d) of the Companies Act, 1956.

12. The Company has been generally regular in depositing with appropriate authorities undisputed statutory dues including income tax, sales tax, custom duty, excise duty, cess, and other statutory dues applicable to it.

13. According to the information and explanations given to us, no undisputed amounts payable in respects of income tax, wealth tax, sales tax, service tax, custom duty and excise duty were outstanding, as on March 31,2013, for a period more than six months from the date they became payable. However, FBT of Rs. 9.31 lakhs and dividend tax of Rs. 12.61 Lakhs remained unpaid.

14. According to the information and explanations, there are no dues of wealth tax, customs duty, excise duty and cess, which have not been deposited on account of any dispute. However, income tax demand of Rs. 34.17 Cr is disputed by the company.

15. Company has accumulated losses at the end of the financial year. The Company has not incurred any cash losses during the financial year covered by our audit.

16. The Company has not borrowed from Financial Institutions / Debenture issue.

17. The Company has not given any guarantee for loans taken by others from Bank or Financial Institutions.

18. The Company has obtained loans from banks and financial institution in the year under audit.

19. According to the information and explanations given to us, we are of the opinion that no short term funds have been utilized for long term investment.

20. Neither have we been informed nor have we observed any fraud on or by the company during the year under audit.

21. Sub paragraphs (xiii), (xiv), (xviii), (xix) and (xx) of the Clause 4 of the Order are not applicable to the Company.

	For S.U.Radhakrishnani & Co
	Chartered Accountants
Place : Mumbai	S.U.Radhakrishnani
Date : 2nd September, 2013	Proprietor
	M. No. 31760